Chances are you’ve heard of spot market rates. The term has been tossed around a lot in recent years, mostly due to the increasing popularity of spot rate trucking work. Owner-operators and independent fleet owners who might have previously been avoiding the spot market in the effort to establish contract work have become more interested.
3% or more
Estimated fuel savings when using aluminum wheels and fuel-efficient tires.
16.3 metric tons
Average reduction in carbon emissions over an aluminum wheel's lifespan.
Less traction produces less rolling resistance and greater fuel efficiency.
Rolling resistance in the axle has a significant impact on fuel efficiency.
Proper inflation reduces the flexing and stress in the tire that leads to wasteful fuel use.
The idea of speeding up a company’s cash flow through factoring is not new. Some variations of factoring go all the way back to the early days of civilization. Here is a short history of how factoring has evolved through the years:
Traders in ancient Mesopotamia (modern-day Iraq, Kuwait and Syria) use a form of factoring in their business dealings.
Modern factoring begins to take shape in England as a form of financing for clothing merchants.
Before a transportation company is granted interstate operating authority, they are required to file Form BOC-3 with the Federal Motor Carrier Safety Administration (FMCSA).
Form BOC-3 (Designation of Agents for Service of Process) gives motor carriers, brokers and freight forwarders a legal presence in any state where they do business.
Your company may turn a profit today, but will it be profitable six months from today? It is crucial to carefully track how much money your company is taking in and how much it needs for the future. Maintaining a cash flow budget will help you forecast your company’s overall financial health.
Many companies are profitable on paper, yet still get into trouble because they do not have the cash on hand to fund their operations. The owners of these companies may be familiar with their income statement, but they do not know their cash balance.
Developing a timely approach to billing and collecting payments from customers is critical to maintaining your company's financial strength. Here are some helpful tips that can shorten your collection cycle and improve your company’s cash flow:
Working with people you trust is the most important aspect of collections. When taking on a new customer, you should check that company’s credit rating and payment history. You should also ask for credit references.
Today, most accounting software programs allow you to design your company’s invoice within minutes. Just key in some information, drop your logo into the template and you are in business. Some accounting software may not walk you through everything you need to include in your invoices, however.
Because of the risks and responsibilities that come with operating heavy trucks, it is crucial that your company has enough insurance to cover your assets in the event of damaged equipment or a serious accident.
When you run a small business, there are two types of insurance you can buy. There is employer insurance, which is required by law, and there is commercial business insurance, which is not necessarily required. It is wise to have both kinds of insurance to make sure that your trucking company has enough coverage.